Telcos' foray into mobile TV worries cable group

 

 

 

                                          

By Lenie Lectura

Reporter

THE cable television industry is now worried with the pilot testing of mobile television by the Philippine Long Distance Telephone Co. and the announcement by Globe Telecommunications it was also considering going into mobile TV, because the association estimates only 10 percent of the more than 41 million cellular telephone subscribers will respond to mobile TV service. Allan Dungao, president of the Philippine Cable TV Association, said affordability and convenience may be the two important issues that could hold back the growth of mobile TV service pointing to the slow growth of the 3G service. “Only 10 percent of the existing wireless market will be interested to even try to subscribe to mobile TV service. It is very unlikely that mobile TV will even be a threat to the operation of cable TV operators.”   “On the issue of convenience, who would ever want to watch the fights of Manny Pacquiao, for instance, on a very small screen? Also, mobile TV handsets are quite expensive. So, before you subscribe to mobile TV service, one should ask himself if he should really need it,” he added. Dungao said the cable TV industry is most affected by the growing incidence of cable TV theft. Mobile TV differs from video streaming offered in 3G (third-generation) networks because it is not transmitted through the cellular network. It is a broadcast service that delivers content to many viewers simultaneously through a digital TV broadcast signal optimized for mobile devices wherever the mobile phones are located at any given moment. Philippine Long Distance Telephone Co., through National Broadcasting Corp., a unit of MediaQuest Holdings Inc., is already on a pilot test of mobile TV service. MediaQuest president Orlando Vea said in an earlier interview that mobile TV subscribers will reach “hundreds of thousands by 2008.” Once commercial operations commence later this year, the service will be available to all Smart and Talk ’N Text subscribers, either postpaid or prepaid. Rival Globe Telecom also disclosed the other day that it is looking at offering mobile TV service to spur growth of its wireless business.  Company president Gerardo Ablaza said there are opportunities outside its traditional borders that are seen to create new areas of growth for its portfolio